New Delhi: Union Commerce Minister Piyush Goyal caused a buzz at Startup Mahakumbh 2025 in New Delhi. Discussing India’s startup ecosystem in relation to China’s, he asked whether India can be content with only churning out “delivery boys and girls,” or strive for greater innovation and global recognition. His words caused a divided reaction, particularly from individuals within the startup ecosystem, one such being Aadit Palicha, co-founder and CEO of Zepto.
Aadit Palicha weighs in:
Aadit Palicha wasn’t pleased with the tone. He defended Indian consumer internet startups, highlighting the way they do a heck of a lot more than just make gig work. Using Zepto as a reference point, he posted on X (formerly Twitter) that the firm has created 1.5 lakh jobs in 3.5 years. In addition to that, Zepto remits over ₹1,000 crore in taxes annually, has attracted over $1 billion in overseas investment, and has invested heavily in enhancing India’s supply chains, particularly for fresh produce like fruits and vegetables.
In Palicha’s opinion, these accomplishments reflect that Indian startups are innovative and create actual change. He urged individuals to celebrate the worth of these firms rather than dismissing them as merely being delivery apps.
Palicha didn’t leave it at that. He also spoke about a larger issue, India not haGoogleving large foundation AI models. He feels that this is due to the fact that the nation hasn’t created enough robust internet companies yet. He spoke about how all the big global giants such as Amazon, Google, Facebook, Alibaba, and Tencent began as internet companies and went on to drive large tech revolutions such as AI and cloud computing.
Palicha stated that Indian consumer internet startups already possess the ingredients necessary, data, talent, and capital, to fuel future tech innovation. However, in order for them to succeed, they require greater support from the government and investors rather than being undermined.
Mohandas Pai, former Infosys board member, also chimed in. He wasn’t happy with how the government is treating startups either. He called out the Angel Tax, RBI’s tight rules, and the lack of investment from insurance companies as big problems. According to him, these issues are making it hard for startups to grow and attract foreign investors.
